Double Barreled

A municipal general obligation bond in which the cash flows are pledged by two distinct and different entities. One entity will make interest payments, and the other, the principal payments. These are municipal general obligation (GO) bonds as opposed to revenue bonds because they are ultimately backed by the issuer and its taxing power.

Double-barreled bonds are sometimes referred to as "combination bonds".

These bonds, as specified by their trust indenture, are municipal general obligation bond issues. For example, assume a local city issues a double-barreled muni bond to raise funds for a new toll road bypass. In the event that the cash flows from the tolls are unable to cover the interest and/or principal payments (debt service), the shortage would be covered by the issuing city from its general fund. These bonds are thus backed by both the toll revenue stream and the full faith and credit of the issuing city.

Investment dictionary. . 2012.

Look at other dictionaries:

  • Double-barreled — Dou ble bar reled, or barrelled bar relled , a. Having two barrels; applied to a gun. [1913 Webster] …   The Collaborative International Dictionary of English

  • double-barreled — [dub′ lbar′əld] adj. 1. having two barrels, esp. side by side, as a kind of shotgun 2. having two purposes 3. that can be taken in two ways; ambiguous …   English World dictionary

  • double-barreled — adjective 1. having two barrels mounted side by side a double barreled shotgun • Syn: ↑double barrelled • Ant: ↑single barreled 2. having two purposes; twofold our double barreled desire to make things profitable as well as attractive Louis… …   Useful english dictionary

  • double-barreled — dou|ble bar|reled [ ,dʌbl bærəld ] adjective 1. ) a double barreled gun has two parts that bullets come out from 2. ) MAINLY JOURNALISM a double barreled attack or plan has two parts …   Usage of the words and phrases in modern English

  • double-barreled — adjective Date: 1709 1. of a firearm having two barrels mounted side by side or one beneath the other 2. twofold; especially having a double purpose < asked a double barreled question > …   New Collegiate Dictionary

  • double-barreled — /dub euhl bar euhld/, adj. 1. having two barrels mounted side by side, as a shotgun. 2. serving a double purpose or having two parts or aspects: a double barreled attack on corruption. [1700 10] * * * …   Universalium

  • double-barreled — double bar·reled …   English syllables

  • double-barreled — dou′ble bar′reled adj. 1) (esp. of a shotgun) having two barrels mounted side by side 2) serving a double purpose or having two aspects • Etymology: 1700–10 …   From formal English to slang

  • double-barreled — Describes backing of the principal and interest of a smaller municipal revenue bond by a larger municipal entity. Bloomberg Financial Dictionary …   Financial and business terms

  • double barreled — having two barrels (of a firearm); having two different meanings or purposes …   English contemporary dictionary

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.